EU Horizon 2020 programme grants EUR 17 million for wave power research project coordinated by Fortum

5/6/2015 10:00 EET

FORTUM CORPORATION PRESS RELEASE 6 May 2015

The European Commission’s research and innovation programme Horizon 2020 has
granted EUR 17 million in funding for the Clean Energy From Ocean Waves (CEFOW)
research project that is coordinated by Fortum. The mission of the five-year
project is to research and develop the use of the Penguin wave energy
converter, developed by the Finnish company Wello, in electricity grid
connected ocean conditions. The multi-device test project will be carried out
at Wave Hub, the wave power-focussed test centre, located in Cornwall, Great
Britain, where Fortum has a leased sea area.

In the project, Finnish wave power technology is being developed and operated
in collaboration with British and Swedish experts. The EU has granted EUR 17
million of the project’s total budget of EUR 24.5 million. In addition to
Fortum, the joint project consists of Wello Ltd, Mojo Maritime Ltd, Wave Hub
Limited, Green Marine (UK) Ltd, Uppsala University, Plymouth University and the
University of Exeter.

“Wave power may play an important role in the future as an emissions-free
energy production form, and that is why Fortum is participating in the research
and development efforts. By this project we are expecting to increase our
capabilities and skills in the field of wave power. We believe that the
funding from the European Commission and the experienced collaboration partners
create excellent conditions for making great strides forward in commercializing
Wello’s wave power technology,” says Heli Antila, Chief Technology Officer at
Fortum. “On a global scale, this project is at the vanguard of wave power
research,” Antila goes on to say.

This project has received funding from the European Union’s Horizon 2020
research and innovation programme under grant agreement No 655594.

Background information for media about Fortum’s wave power development work:
Fortum has been actively involved in wave energy development since 2007 and has
tested several different technologies. One of these is the Finnish AW-Energy’s
WaveRoller™, which has been successfully tested off the coast of Portugal. In
2013 Fortum signed a cooperation agreement with the French marine technology
company DCNS and AW-Energy to jointly develop a 1.5-MW wave power demonstration
project in Bretagne, France. The wave power technology chosen for the project
was WaveRoller™.

In Sweden, Fortum and Seabased AB are currently cooperating on a 10-megawatt
wave power park on the west coast of Sweden, in Sotenäs. It is one of the
world’s largest wave-power demonstration projects in terms of output and
production is scheduled to start in 2015. The technology being used in Sweden
is Seabased’s linear wave power generator, which is anchored to the bottom of
the sea.

Fortum signed a leasing agreement in February 2014 with the Wave Hub test
facility to test wave power solutions off the coast of Cornwall in Great
Britain. The agreement offers Fortum a new opportunity to trial run full-scale
wave power devices in ocean conditions.

Fortum
Fortum’s purpose is to create energy that improves life for present and future
generations. Catering to the versatile needs of our customers, we generate,
distribute and sell electricity and heat, and offer related expert services.
Our operations focus on the Nordic and Baltic countries, Russia and Poland. In
2014, Fortum’s sales totalled EUR 4.75 billion and comparable operating profit
was EUR 1.35 billion. We employ approximately 8,800 people. Fortum’s shares are
traded on the Nasdaq Helsinki. www.fortum.com